Gift card exchange kiosks and associated methods of use

ABSTRACT

The present disclosure is directed to gift card exchange kiosks and associated methods of use. In one embodiment, for example, a consumer operated kiosk can receive a gift card identifier associated with a gift card via a user interface and/or a card reader, verify the gift card&#39;s activation status and/or face value, and display exchange options for a consumer. The exchange options can include exchanging the gift card for cash or a redeemable cash voucher. The kiosk can also store exchanged gift cards for later sale at the kiosk or at a remote location.

CROSS-REFERENCE TO RELATED APPLICATION(S)

This application claims the benefit of U.S. Provisional Application No.61/409,050, filed Nov. 1, 2010, entitled “GIFT CARD EXCHANGE KIOSKS ANDASSOCIATED METHODS OF USE,” which is incorporated herein by reference inits entirety.

CROSS-REFERENCE TO APPLICATION(S) INCORPORATED BY REFERENCE

The disclosures of U.S. Pat. No. 8,024,272, entitled “METHODS ANDSYSTEMS FOR EXCHANGING/TRANSFERRING GIFT CARDS,” filed Apr. 12, 2010;U.S. Pat. No. 7,653,599, entitled “METHODS AND SYSTEMS FOR EXCHANGINGAND/OR TRANSFERRING VARIOUS FORMS OF VALUE,” filed Apr. 13, 2005; U.S.patent application Ser. No. 11/294,637, entitled “METHODS AND SYSTEMSFOR EXCHANGING AND/OR TRANSFERRING VARIOUS FORMS OF VALUE,” filed Dec.5, 2005; U.S. patent application Ser. No. 12/177,275, entitled “METHODSAND SYSTEMS FOR EXCHANGING AND/OR TRANSFERRING VARIOUS FORMS OF VALUE,”filed Jul. 22, 2008; and U.S. patent application Ser. No. 10/558,907,entitled “METHODS AND SYSTEMS FOR PROVIDING PRODUCTS, SUCH AS DIGITALCONTENT INCLUDING GAMES, RING TONES, AND/OR GRAPHICS; AND SERVICES, SUCHAS COMPUTER NETWORK SERVICE INCLUDING INTERNET SERVICE,” filed Feb. 7,2007; are incorporated herein by reference in their entireties.

TECHNICAL FIELD

The present disclosure relates generally to systems, apparatuses andmethods for exchanging gift cards and, more particularly, to consumeroperated kiosks for exchanging gift cards.

BACKGROUND

Gift cards are restricted monetary equivalents issued by retailers orbanks that consumers can use as an alternative to currency forpurchasing goods, services, etc. While gift cards rank as one of themost popular gifts given by consumers in the United States, a largepercentage of gift cards go unused or expire each year, resulting insignificant annual breakage (i.e., unused gift card value).

Various methods have been proposed to reduce breakage. Some web sites,for example, provide consumers with the ability to auction unwanted giftcards. Other websites provide consumers with the ability to exchangeunwanted gift cards for cash through the mail. The current options forexchanging gift cards, however, can appear complex and/or time consumingto consumers. Additionally, gift cards that have been taken in anexchange may be difficult to resell, leading to further breakage.Accordingly, it would be advantageous to provide consumers with arelatively easy way to exchange unwanted gift cards for other forms ofvalue and avoid breakage.

BRIEF DESCRIPTION OF THE DRAWINGS

FIG. 1 is a partially schematic isometric view illustrating variouscomponents and subsystems associated with a gift card exchange kioskconfigured in accordance with an embodiment of the disclosure.

FIG. 2 illustrates a suitable network environment for implementingvarious aspects of exchanging gift cards configured in accordance withembodiments of the disclosure.

FIG. 3A is a flow diagram of a routine for exchanging gift cards with aconsumer operated kiosk configured in accordance with an embodiment ofthe disclosure.

FIG. 3B is a flow diagram of a routine for buying gift cards with aconsumer operated kiosk configured in accordance with another embodimentof the disclosure.

FIG. 4 is a flow diagram of a routine for exchanging multiple gift cardswith a consumer operated kiosk configured in accordance with a furtherembodiment of the disclosure.

DETAILED DESCRIPTION

The present disclosure describes various embodiments of systems andmethods for exchanging various types of gift cards, virtual gift cards,gift card facsimiles, and similar financial instruments (e.g., pre-paidcards, etc.). Exchanging gift cards allows consumers to monetorize theirunused or unwanted gift cards. A consumer operated kiosk configured inaccordance with several embodiments of the disclosure can receive a giftcard, verify the gift card's activation status and value, and provideexchange options to a consumer. The options can include, for example,(1) exchanging the gift card for cash, and/or (2) exchanging the giftcard for another gift card. After receiving a gift card from a consumerand dispensing the desired output in exchange, the kiosk can retain thegift card in the kiosk, update a gift card database to reflect theexchange, and/or resell the gift card value to another consumer. Invarious embodiments described herein, the term “gift card” can generallyrefer to a card that resembles a credit card, but has a predeterminedmonetary equivalent (i.e., a face value). A gift card typically includesa gift card identifier (e.g., a number, etc.) that is cross-linked tothe gift card's face value. Gift cards can include barcodes, magneticstripes, processors (e.g., smart chips), and/or other media forrecording gift card identifiers, codes, values, and/or other suitableinformation. As used herein, the term “gift card” can also encompassvirtual gift cards that can be delivered via email, text messages ormobile phone applications (e.g., iPhone applications) and displayedusing a smart phone, tablet, and/or other suitable devices. Gift cardsmay be open loop or closed loop cards. Banks or credit card companiescan issue open loop cards that can be redeemed at different commercialestablishments. Conversely, restaurants, stores, and other retailestablishments generally issue closed loop cards that are only valid foruse at the retail establishment or its retail partners.

Certain details are set forth in the following description and in FIGS.1-4 to provide a thorough understanding of various embodiments of thedisclosure. Other well-known structures and systems often associatedwith gift cards, gift card payment systems, consumer operated kiosks,and related commerce systems have not been shown or described in detailbelow to avoid unnecessarily obscuring the descriptions of the variousembodiments of the disclosure. Additionally, a person of ordinary skillin the relevant art will understand that the disclosure may haveadditional embodiments that may be practiced without several of thedetails described below. In other instances, those of ordinary skill inthe relevant art will appreciate that the methods and systems describedcan include additional details without departing from the spirit orscope of the disclosed embodiments.

Many of the details, dimensions, functions and other features shown anddescribed in conjunction with the Figures are merely illustrative ofparticular embodiments of the disclosure. Accordingly, other embodimentscan have other details, dimensions, functions and features withoutdeparting from the spirit or scope of the present disclosure. Inaddition, those of ordinary skill in the art will appreciate thatfurther embodiments of the disclosure can be practiced without severalof the details described below.

FIG. 1 is a partially schematic isometric view of a gift card exchangekiosk 100 (“kiosk 100”) configured in accordance with an embodiment ofthe disclosure. The kiosk 100 can include a user interface 102 and oneor more output devices. The user interface 102 can include a displayscreen 104 and one or more input devices, such as a card input slot 120.Additionally, the input device can include a keyboard 107, a bar codereader, an encrypted PIN pad, a voice command device, a cursor controldevice, a mouse, and/or other suitable input devices that enable orfacilitate entering information. In the illustrated embodiment, the userinterface 102 includes a touch screen 106 that is configured to bothdisplay information and receive user inputs.

In some embodiments, the kiosk 100 can hold a supply of blank gift cardsto accommodate new card sales. The blank gift cards can include magneticstripes that can have various types of information (e.g., cardidentifiers, account information, store numbers, etc.) written to themwith a card writer 124 when the gift card is purchased. In otherembodiments, the magnetic stripes can include pre-encoded identificationcodes that the kiosk 100 can read from the gift cards and associate witha remote account and a corresponding value before the gift cards aredispensed from the kiosk 100. The kiosk 100 can also include, a cardprinter 122 (e.g., a two-sided printer) configured to print informationand graphics (e.g., the name of a retail establishment, customized text,access numbers, legal information, bar codes, etc.) on gift cards and/oran embosser that can emboss information (e.g. account numbers, etc.) onnew gift cards. Once the appropriate information has been added to thenew gift card, it can be dispensed from the kiosk 100 via a carddispenser 108. As shown in the illustrated embodiment, the kiosk 100 caninclude other output devices, such as a currency dispenser 110 and avoucher and/or receipt dispenser 112 connected to a printer 114 (e.g., athermal printer) configured to print redeemable cash vouchers and/orreceipts during and/or after transactions. The voucher dispenser 112 canalso be configured to dispense vouchers with card identifiers (e.g., barcodes, card numbers, etc.) and/or card values printed thereon (e.g.,rather than dispensing new gift cards). In other embodiments, the kiosk100 can include other suitable output devices that enable or facilitatedispensing items related to exchanging gift cards.

The kiosk 100 can further include a card reader 116 (e.g., a card swipe)for reading magnetic stripes, microchips, optical media, and/or othertypes of storage media on gift cards, credit cards, debit cards, and/orother types of financial instruments submitted by consumers. In someembodiments, the card reader 116 and card input slot 120 can beincorporated into a singular device. In other embodiments, the cardreader 116 can be operatively coupled to the card input slot 120.

The display screen 104 can include one or more devices that displayoptions related to exchanging gift cards and/or reselling previouslyexchanged gift cards. For example, the display screen 104 can include ascreen, a monitor, a touch screen, a digital read out, and othersuitable devices. The options can include, for example, (1) exchangingone or more gift cards for cash or a redeemable cash voucher, (2)exchanging a first gift card for a second gift card, (3) rejecting anexchange, (4) buying a gift card, (5) a combination of the above listedoptions, and/or other suitable options.

In various embodiments, the display screen 104 can display informationand/or images related to various gift cards for sale in a virtual giftcard inventory (“inventory”). The inventory can be stored in a remotedatabase connected to the kiosk 100 via a communications link (describedin detail in FIG. 2). In an alternative embodiment, the inventory can bestored locally on a hard drive or another storage device within thekiosk 100. The inventory can include gift card information related togift cards previously exchanged with the kiosk 100, with another kioskconnected in a kiosk network, and/or data from other gift cards. Forexample, the inventory can include gift card identifiers (e.g., cardnumbers) cross-linked with face values, store names, card activationstatuses, etc. Consumers can browse the inventory with the userinterface 102 using parameters such as store name, price, face value,discount, and/or other suitable browsing parameters. In otherembodiments, the information and/or images related to various gift cardsfor sale in the inventory can be displayed on a remote device (e.g., aremote personal computer, mobile phone, PDA, tablet, etc.) connected tothe database.

In one embodiment, the gift card identifier (e.g., a gift card number)and the face value of individual gift cards in the inventory can bestored in the database, and new gift cards can be sold having the samegift card identifier and face value. For example, a first consumer canuse the kiosk 100 to exchange a first gift card having a face value of$100 from a first retail establishment, and a second consumer can usethe kiosk 100 (or another kiosk connected to the kiosk 100) to exchangea second gift card having a face value of $50 from the first retailestablishment. The inventory can be updated after each transaction and,thus, would include a first gift card identifier cross-linked with a$100 face value and a second gift card identifier cross-linked with a$50 face value. In this example, a third consumer could then use thekiosk 100 (or another kiosk connected to the kiosk 100) to buy a newgift card from the first retail establishment for a face value of either$100 or $50. For example, if the third consumer selects a new gift cardwith a face value of $100, the kiosk 100 can pull a blank card fromstorage and add the first gift card identifier to the new card beforedispensing it to the third consumer via the card outlet 108.

The first gift card identifier can be added to the new card in a numberof different ways. For example, in one embodiment the card writer 124can write the first gift card identifier to a magnetic stripe on the newcard. In other embodiments, the card printer 122 can print the firstgift card identifier on the new card in bar code. The card printer 122can also print other information and graphics (e.g., store logo,seasonal designs, etc.) on the card, and/or an embosser can embossinformation (e.g., card numbers, expiration date, etc.) on the card. Infurther embodiments, the kiosk 100 can store blank cards having smartchips, and the kiosk 100 can be configured to program the smart chipwith the value associated with the first gift card identifier (e.g.,$100).

In other embodiments, the kiosk 100 can store exchanged gift cardslocally in a storage device 121 (e.g., a card holder) and resell thelocally stored gift cards. For example, a first consumer can use thekiosk 100 to exchange a first gift card having a face value of $100, andthe kiosk 100 can store the first gift card locally in the storagedevice 121. A second consumer can use the kiosk 100 to buy the firstgift card, and the kiosk 100 can retrieve the first gift card from thestorage device 121 and dispense the first gift card from the carddispenser 108. In further embodiments, the previously exchanged giftcards in the storage device 121 can be removed from the kiosk 100 andresold at a remote location, such as on a website for buying gift cards.

In another embodiment, the value of previously exchanged gift cards canbe accumulated in the inventory, and consumers can set a face value oftheir choosing for a desired gift card using the user interface 102. Forexample, a first consumer can use the kiosk 100 to exchange a first giftcard having a face value of $100 from a first retail establishment, anda second consumer can use the kiosk 100 (or another kiosk connected tothe kiosk 100) to exchange a second gift card having a face value of $50from the first retail establishment. After each transaction, theinventory is updated and, thus, would include at least $150 worth ofgift card value from the first retail establishment. A third consumerwishing to buy a gift card for use at the first retail establishment canthen use the kiosk 100 (or another kiosk connected to the kiosk 100) tobuy a third gift card for any face value up to $150 (e.g., $75). Thekiosk 100 can write a new gift card identifier to a magnetic stripe on ablank card with the card writer 124, and associate the new gift cardidentifier with a $75 face value. Alternatively, the kiosk 100 can printa bar code associated with the new gift card identifier on a blank cardusing the card printer 122. In additional embodiments, the inventory canaccumulate the face value of previously exchanged gift cards from afirst retail establishment, and store the face value of individual giftcards from a second retail establishment. In still further embodiments,the inventory can be accessed via the Internet where consumers can ordergift cards for various predetermined face values or select there owngift card values up to a predetermined limit (e.g., set by the totalvalue of previously exchanged gift cards from a specific retailer).

In further aspects of the illustrated embodiment, the kiosk 100 caninclude a card deactivation system 118 operatively coupled to the cardinput slot 120 to prevent gift cards exchanged by the kiosk 100 fromimproperly or fraudulently reentering the stream of commerce. The carddeactivation system 118 can include one or more devices that physicallydeactivate gift cards (e.g., a card demagnetizer, shredder, etc.),and/or change the status of gift cards from “active” to “void” or“deactivated” in a database (described below in FIG. 2) via thecommunications link. For example, before dispensing an output (e.g., aredeemable cash voucher, a new gift card), the kiosk 100 can direct aconsumer to insert his or her gift card into the card input slot 120,and the card deactivation system 118 can deactivate (e.g., changestatus, demagnetize, shred) the gift card.

The kiosk 100 can also include devices that customize gift cards peruser specifications. For example, the user interface 102 can beconfigured to receive consumer input defining text, fonts, pictures,colors, and/or other desired features that can be printed onto a giftcard using the card printer 122 and dispensed from the card dispenser108.

In operation, the kiosk 100 can exchange one or more gift cards tenderedby a consumer for a selected output, such as cash, a redeemable cashvoucher, other gift cards (e.g., new gift cards or previously exchangedgift cards), or a combination of outputs. The kiosk 100 can receiveinformation about the first gift card (e.g., gift card identifier) viathe user interface 102 and/or the card reader 116, and can respond bydisplaying options to the consumer on the display screen 104. Theconsumer can select an option via the user interface 102. Depending onthe option selected, the kiosk 100 can dispense an output to theconsumer via the appropriate output device (e.g., the card dispenser108, the currency dispenser 110, or the voucher dispenser 112).Additionally, the kiosk 100 can receive consumer identificationinformation, such as a consumer's name, credit card number, etc. fromthe user interface 102, and/or the card reader 116.

In one embodiment, the kiosk 100 can be used by a card-holder toexchange a gift card for cash or a redeemable cash voucher (i.e., abuy-back value). The buy-back value is the value the kiosk 100 will payin exchange for a gift card. The buy-back value can be a fixed rate(e.g., 75% of face value) and/or can vary according to an algorithmassociated with one or more factors. Factors can include, for example,anticipated demand for a particular type of gift card from a certainretail establishment, the face value of the gift card, the expirationdate, the projected resale value, and/or other suitable factors.

In another embodiment, the buy-back value can vary depending on the typeof output the consumer selects. For example, a first gift card can havea first buy-back value associated with a first option (e.g., aredeemable cash voucher), and a second buy-back-value associated with asecond option (e.g., a second gift card).

In further embodiments, the kiosk 100, can also sell gift cards based onthe gift card values stored in the virtual gift card inventory.Consumers can browse the gift cards for sale in the inventory using theuser interface 102 by viewing gift card information and/or images on thedisplay device 104 and searching the inventory with the user inputdevice 106. When the consumer finds a gift card he or she wishes topurchase, the consumer can select the card via the user interface 102,and the kiosk 100 can write the gift card identifier and/or otherinformation to a magnetic stripe on the card, or print this informationin a bar code on the card. The kiosk can also print other information(e.g., the card value, store name, store logo, etc.) on the selectedgift card using the card printer 122 and then dispense the selected giftcard via the card dispenser 108. In other embodiments, the virtual giftcard inventory can be viewed remotely on a website (e.g., via a homecomputer, tablet, or mobile phone), and gift cards in the inventory canbe purchased via the Internet. The remotely purchased gift cards can bephysical gift cards or vouchers sent to purchasers by mail or they cancome in the form of virtual gift cards send via email.

In one embodiment, the kiosk 100 can resell a gift card for a resalevalue that is less than the face value of the gift card. For example, agift card with a face value of $100 can be resold from the kiosk 100 for$85. The resale value can be determined by various factors, such asanticipated demand for a particular type of gift card from a certainretail establishment, the face value of the gift card, the expirationdate, the projected resale value, and/or other suitable factors.Additionally, in one embodiment, the buy-back value and the resale valuecan be correlated so that the buy-back value is less than the resalevalue. For example, a gift card having a face value of $100 can have abuy-back value of $70 and a resale value of $75. This arbitrage featurecan simultaneously accommodate consumers who prefer to monetorize theirunwanted gift cards and consumers who want to buy gift cards at adiscount.

FIG. 2 illustrates a suitable system or network environment forimplementing various aspects of the gift card exchange system describedin detail above. In the illustrated embodiment, a plurality of thekiosks 100 (identified individually as a first kiosk 100 a and a secondkiosk 100 b) can be operatively connected to a server 204 via theInternet, a dedicated network, and/or other communications link 202. Theserver 204 performs much or all of the functions for receiving, routing,and storing of application programs, electronic messages, and otherinformation associated with features of the kiosk network. The server204 can include a server engine, a content management component, and adatabase management component. The server engine performs basicprocessing and operating system level tasks. The content managementcomponent handles many of the functions (e.g., determining gift cardsale value and managing inventory) in the embodiments described herein.Other functions can be handled by the kiosk 100. The database managementcomponent includes storage and retrieval tasks with respect to adatabase 208 coupled to the server 204, queries to the database 208, andstorage of data. The database 208 can store at least some of the contentexchanged between the kiosks 100, information (e.g., gift cardidentifiers, card activation statuses, face values, etc.) associatedwith gift cards, and can store the virtual gift card inventory describedabove. As will be apparent to those skilled in the art, the server 204can include a single server or a plurality of servers, and the database208 can include a single database or a plurality of databases.

Additionally, the server 204, including the database 208, may employsecurity measures to inhibit malicious attacks on the system and topreserve integrity of the messages and data stored therein (e.g.,firewall systems, secure socket layers (SSL) password protectionschemes, encryption, and the like).

In the illustrated embodiment, the communications link 202 can furtherbe connected to financial institutions 206 (e.g., a bank, automatedclearing house (ACH), etc.) and retail establishments 210. The financialinstitution 206 can perform credit and/or debit card transactions,provide payment options and/or to identify consumers. The retailestablishment 210 can provide information regarding gift card balances,gift card usage, etc.

The system illustrated in FIG. 2 can connect individual kiosks 100 a,100 b to the server 204 to share information. For example, the cardreader 116 on the kiosk 100 a can read a first gift card identifier froma first gift card or the user interface 102 can receive a first giftcard identifier associated with the first gift card. Through thecommunications link 202, the server 204 can query the database 208regarding the first gift card's activation status and face value. Theserver 204 can communicate this information to the kiosk 100 a via thecommunications link 202. In other embodiments, the retail establishment210 can provide the first gift card's activation status and face valueto the kiosk 100 a via the communications link 202. If the first giftcard is inactive or fraudulent, the kiosk 100 a can reject the firstgift card (e.g., dispense the first gift card, deactivate the first giftcard, etc.). If the first gift card is active, the kiosk 100 a and/orthe server 204 can provide a buy-back value associated with the firstgift card. The kiosk 100 a, then, displays options to the consumer onthe display screen 104, and receives a selection from the consumer viathe user interface 102. If the selection corresponds to accepting thebuy-back value, the kiosk 100 a dispenses the buy-back value, and thedata from the first gift card (e.g., gift card identifier, face value,etc.) can be added to the virtual gift card inventory stored in thedatabase 208. The server 204 can also deactivate the first gift card(via the card deactivation system 118) in the database 208 and/or notifythe database 208 that the kiosk 100 a has possession of the first giftcard. The kiosk 100 a or another kiosk 100 b connected to thecommunications link 202 can resell the face value on the first gift cardby printing and/or writing the first gift card identifier on a new giftcard and dispensing the new gift card. The communications link 202 canalso connect the kiosks 100 to a remote personal device 212 (e.g., acomputer, tablet, mobile phone, etc.) where consumers can browse thevirtual gift cards inventory stored on the database 208 (e.g., via awebsite, a smart phone or tablet application, etc.) and purchase giftcards therefrom.

Using the network environment in FIG. 2, multiple kiosks 100 can beconnected to one another via the communications link 202 and positionedin a plurality of publicly accessible areas, such as grocery stores orhome improvement stores. This allows a first consumer at the first kiosk100 a in a first location to browse gift cards in the virtual gift cardinventory and find a gift card previously exchanged by the second kiosk100 b in a second location.

FIG. 3A is a flow diagram of a routine 300 for exchanging a gift cardwith a kiosk (e.g., the kiosk 100), and FIG. 3B is a flow diagram of aroutine 330 for buying a gift card with a kiosk. Referring to FIG. 3A, aperson wishing to exchange a first gift card provides the gift card tothe kiosk, e.g., by swiping the first gift card through a card swipe orinserting the first gift card into a card input slot. In block 302, thekiosk receives first gift card data (e.g., first gift card identifier).This step can include reading a magnetic stripe on the first gift cardusing the card reader, reading a bar code (with, e.g., a bar codescanner), reading a smart chip, and/or receiving data from a userinterface (e.g., entering a gift card identifier, selecting a retailestablishment). The kiosk can also request that the consumer input agift card PIN using a touch screen, pin pad, and/or other suitable inputdevice to further validate the first gift card and deter fraud. In block304, the kiosk verifies the first gift card data by connecting to aserver and database, or connecting to the card merchant system (e.g., aretail establishment), to determine the face value of the first giftcard, its card activation status, and/or other relevant information.

In block 306, the kiosk can display options to the consumer forexchanging the first gift card. The options can include, for example,(1) returning the gift card, (2) exchanging the gift card for cash or aredeemable cash voucher, (3) exchanging the gift card for a second giftcard, (4) buying a new gift card, (5) a combination of the above listedoptions, and/or other options. In block 308, the kiosk receives aconsumer selection, and then performs the corresponding function.

In decision block 310, the routine 300 determines if the consumerselected the option of having the first gift card returned (e.g.,rejecting the buy-back value). If so, and the consumer inserted thefirst gift card into the kiosk via a card input slot, the routine 300proceeds to block 312 and the first gift card can be returned to theconsumer from an output device, such as the card dispenser 108 describedin FIG. 1. In one aspect of this embodiment, however, if the serverindicates the first gift card is stolen or fraudulent, the first giftcard can be retrieved and deactivated via a card deactivation systemsuch as the card deactivation system 118 described in FIG. 1.

If the consumer did not want the gift card returned, the routine 300proceeds to decision block 314, and determines if the consumer wishes toexchange the first gift card for cash. If so, the routine 300 proceedsto block 316 and the kiosk dispenses cash using a currency dispenser. Inother embodiments, the kiosk can dispense cash value (e.g., a redeemablecash voucher, cash card, etc.)_using a voucher printer, a carddispenser, or another suitable output device.

If the consumer does not wish to exchange the first gift card for cash,the routine 300 proceeds to decision block 318 and determines if theconsumer wishes to exchange the first gift card for a second gift card.The routine 300 can also proceed to decision block 318 after dispensingcash or a redeemable cash voucher (block 316) to determine if theconsumer also wishes to purchase second gift card. If so, a displayscreen can display information and/or images related to gift cards in avirtual gift card inventory stored in a database, such as describedabove with reference to FIGS. 1 and 2. The display can includeinformation associated with each gift card, such as the store name,value, etc. The consumer can browse the virtual gift card inventory andselect a second gift card using the user interface.

After receiving the consumer's selection of a second gift card, theroutine 300 proceeds to block 320. The kiosk can print and/or writeinformation associated with the second gift card with a printer or cardwriter. The kiosk can then dispense the second gift card with a carddispenser, such as the card dispenser 108 described above, and activatethe second gift card via a communications link connecting the kiosk to adatabase or a merchant system. If the first gift card has a buy-backvalue that is less than the resale value of the second gift card, thekiosk can prompt the consumer to input additional funds. Additionalfunds (e.g., credit/debit card, cash,) can be deposited by enteringcredit and/or debit card information into the user interface, swiping acredit/debit card through a card swipe, inserting a credit/debit card ina card input slot, or depositing cash into a currency acceptor.Conversely, if the first gift card has a higher buy-back value than thesecond gift card, the kiosk can dispense a redeemable cash voucher fromthe voucher printer, cash from a currency dispenser, a different form ofcash value from another output device, and/or prompt the consumer toselect a third gift card. The routine 300 can repeat if the consumer hasmultiple gift cards to exchange. The routine 300 can also includedispensing a receipt from a receipt dispenser after each transaction.

In further embodiments, the routine 300 can include additional steps.For example, the routine 300 can identify the consumer by requesting theconsumer to enter credit/debit card information via the card readerand/or the user interface. As explained in greater detail below, thiscan prevent fraud because the kiosk can connect to the consumer'sfinancial institution via a communications link and verify that theconsumer has not been making unauthorized charges. Additionally,requesting the consumer to enter credit/debit card information allowsthe kiosk to store consumer information (e.g., consumer name,transaction history) to track future transactions. In still furtherembodiments, the routine 300 can include displaying a customizationoption so the consumer can personalize a gift card by adding graphics(e.g., text, fonts, pictures).

Turning next to the routine 330 in FIG. 3B, a person wishing to purchasea gift card selects a corresponding button or icon on the user interfaceof the kiosk. In block 332, a display screen on the kiosk displaysinformation and/or images related to gift cards in a virtual gift cardinventory. As described above, the virtual gift card inventory caninclude gift card information (e.g., gift card identifiers, face values,store names, etc.) from previously exchanged gift cards. The consumercan browse the inventory with a user interface using desired searchparameters (e.g., retail establishment, price, discount, etc.). In block334, the kiosk can receive a first gift card selection from the consumervia the user interface. In further embodiments, the routine 330 caninclude receiving a plurality of gift card selections at one time.

In block 336, the kiosk receives payment from the consumer via, forexample, a cash input slot and/or a card reader. The kiosk can receivedifferent forms of payment, such as cash, a previously exchanged giftcard (i.e., routine 300), a debit card, a credit card, and/or othersuitable payment mechanisms. In block 328, a card printer and/or a cardwriter can print and/or write the first gift card information (e.g., agift card identifier, a store name, etc.) on a first gift card and/or toa magnetic stripe on the first gift card, and a card dispenser candispense the first gift card. Additionally, in this step, the first giftcard can be activated via the communications link described above inreference to FIG. 2. In block 340, the virtual gift card inventory isupdated by removing the first gift card information from the virtualgift card inventory. Additionally, a receipt can be dispensed from areceipt dispenser after each transaction.

As described with reference to routine 300, additional embodiments ofthe routine 330 can include a customization option and/or request theconsumer to enter credit/debit card information to identify theconsumer.

FIG. 4 is a flow diagram of a routine 400 for exchanging multiple giftcards for other value (e.g., cash or a redeemable cash voucher) with aconsumer operated kiosk (e.g., the kiosk 100) in accordance with anotherembodiment of the disclosure. The routine 400 can begin in block 402 bydisplaying (e.g., on a display screen or a touch screen) a listing ofgift cards the kiosk will purchase from consumers. In variousembodiments, for example, the kiosk can be configured to purchase giftcards from only specified retail establishments, above a predeterminedface value, and/or having other suitable limitations. A user can scrollthrough the listing and/or search the listing for the specific gift cardhe or she wishes to exchange. The kiosk can also be configured todisplay additional information associated with the gift cards, such asthe return percentage on the face value of the gift cards.

If the user decides to exchange a gift card, the routine 400 moves toblock 404 and the kiosk can receive data associated with a first giftcard (e.g., a first gift card identifier) from a user by swiping thefirst gift card through a card swipe or inserting the first gift cardinto a card input slot. In the case of virtual gift cards, the kiosk canrequest that the user input the gift card number, code, etc., scan a barcode associated with the first gift card, and/or position a smart phonewithin a near field of the kiosk to interact with the smart phone andidentify the gift card. In block 406, the kiosk can verify the firstgift card data by connecting to a gift card database or a merchantsystem (e.g., via the communications link 202 described in FIG. 2) tocheck the face value of the first gift card, its card activation status,and/or other relevant information.

In decision block 408, the kiosk queries the user as to whether he orshe has additional gift cards to exchange. If so, the routine 400 canrepeat blocks 404 and 406 by receiving and verifying additional giftcard information until the user has no more gift cards to exchange. Eachgift card can be held in its current state (e.g., active or pending)while additional gift cards are validated. In various embodiments, theroutine 400 may have a predetermined limit on the maximum monetary valueand/or quantity of gift cards that can be exchanged per transaction. Ifsuch a limit is met during the transaction, the routine 400 can beconfigured to automatically terminate or proceed forward to the nextstep.

The routine 400 can optionally include block 410 where the kiosk canreceive user identification information to concatenate a user with thetransaction. Suitable user identification can include, for example, agovernment issued I.D. (e.g., a driver's license, passport, etc.), adebit or credit card, a PIN, a login name and password associated withan account registered with the kiosk or a network of kiosks, and/orother suitable user-specific information that can differentiate the userfrom other users. Various input devices, such as a scanner (e.g., a barcode scanner that can scan bar codes on drivers' licenses), a cardreader, a keypad, and/or other suitable input devices can be used toenter the user identification information. When the kiosk is configuredto receive user identification in the form of a government issued I.D.,for example, the kiosk can scan the photo, address, barcode, and/orotherwise record suitable information.

The routine 400 can further include determining whether a predeterminedcondition associated with the user identification information and/or thetransaction has been met (decision block 412). When the useridentification is a credit or debit card is used, for example, the kioskcan communicate with the user's financial institution (e.g., using thecommunications link 202 described in FIG. 2) to verify that the user hasnot been making unauthorized charges, and the routine 400 can terminateif such charges have been made. In other embodiments, the useridentification can be stored in a local or remote database to track theuser's transactions on the kiosk and/or other remote kiosks connectedthereto via the communications link. If the user has exceeded a maximumface value or buy-back of exchanged gift cards within a predeterminedperiod of time (e.g., a daily cap on the total amount of gift card valuethat can be exchanged or a total transaction value) at the kiosk or anetwork of kiosks, the routine 400 can prevent the user from exchangingadditional gift cards by terminating the routine 400. In variousembodiments, this step can also be performed each time an additionalgift card is tendered (e.g., rather than after all the gift cards aretendered). The routine 400 can also be discontinued if it indicatessuspicious transactions linked to the user, such as excessive quantitiesof gift card exchanges in the current transaction or in previoustransactions, or when excessive face values of gift cards are attemptingto be exchanged. Accordingly, the routine 400 can use the useridentification information to mitigate fraudulent transactions.

If the transaction or user identification information does not triggerany of the predetermined conditions, the routine 400 proceeds to block414 and displays exchange options to the user. As discussed above,suitable exchange options can include exchanging one or more of thetendered gift cards for cash or a redeemable cash. In variousembodiments, the exchange options may include an accumulated buy-backvalue associated with the total face value of the gift cards tendered.The exchange options can also separate individual buy-back values foreach tendered gift card such that the user has the option to exchange asubset of the tendered gift cards and retrieve others he or she does notwish to exchange. In other embodiments, the kiosk can provide thebuy-back value to the user after each gift card is tendered (i.e.,before decision block 408), query the user whether he or she would liketo accept or reject the exchange, and then query the user whether he orshe has another gift card to exchange. The routine 400 can then repeatthe verification of each gift card the user wishes to exchange andprovide a buy-back value or other exchange option to the user before thenext gift card is verified.

In decision block 418, the routine 400 determines if the user selectedthe option of returning the one or more of the tendered gift cards. Ifso, the routine 400 can proceed to block 420 and one or more of the giftcards can be physically returned to the user from a card dispenser ifthe cards were inserted into the kiosk and/or the status of the returnedgift cards can be updated appropriately in the gift card database ormerchant system (e.g., changed from pending to active, maintained asactive, etc.).

If the user did not select to retrieve all of the gift cards, theroutine 400 proceeds to decision block 422, and determines if the userselected to exchange one or more of the gift cards for cash or aredeemable cash voucher. If so, the routine 400 proceeds to block 424and the kiosk dispenses cash using a currency dispenser or prints aredeemable cash voucher. If the gift cards the user wishes to exchangehave not yet been received by the kiosk, such as when the user entersthe gift card information without inserting the gift cards into thekiosk (e.g., by swiping magnetic stripes on the gift cards), the kioskcan request that the user insert the gift cards into the kiosk via acard acceptor before the kiosk dispenses cash or a redeemable cashvoucher. In some embodiments, the kiosk can request that the gift cardsare inserted into the kiosk in the order in which they were verified,and may provide guidance as to the order (e.g., by displaying theretailer, value and/or other information associated with each gift cardin the order the gift cards were verified). The routine 400 can thenterminate or begin again if the user wishes to perform additionaltransactions using the kiosk.

The routine 400 can also include additional steps, such as thosedescribed above with reference to FIGS. 3A and 3B. The routine 400 canalso be configured to retain the exchanged gift cards in a storagedevice. The exchanged gift cards can then be sold remotely, such as on awebsite for selling discounted gift cards (i.e., less than the facevalue of the gift cards) or from another kiosk. In one embodiment, thegift cards can be removed from the kiosk and provided to the remotepurchasers. In other embodiments, the gift card identifiers can beassociated with new gift cards (physical or virtual) and provided to thepurchasers via email, smart phone application, mail, etc. In furtherembodiments, the gift cards can be voided and removed from the stream ofcommerce. The exchanged gift cards, for example, can be deactivated viathe communications link, physically destroyed (e.g., shredded) withinthe kiosk, or removed from the kiosk and voided.

From the foregoing, it will be appreciated that specific embodiments ofthe invention have been described herein for purposes of illustration,but that various modifications may be made without deviating from thespirit and scope of the disclosure. The various steps in the routine 400illustrated in FIG. 4, for example, can be varied such that the routine400 requests the user's identification information before receiving giftcard data. Aspects of the invention described in the context ofparticular embodiments may be combined or eliminated in otherembodiments. Various stages in the routines described in FIGS. 3A-4, forexample, can be combined, supplements intermixed, and/or eliminated.Further, while advantages associated with certain embodiments of theinvention have been described in the context of those embodiments, otherembodiments may also exhibit such advantages, and no embodiment neednecessarily exhibit such advantages to fall within the scope of theinvention. Accordingly, the invention is not limited, except as by theappended claims.

We claim:
 1. A method of exchanging gift cards for value with a consumeroperated kiosk, the method comprising: receiving gift card informationassociated with a gift card via a user input device associated with theconsumer operated kiosk, wherein receiving gift card informationassociated with the gift card comprises receiving a first gift card in acard input slot associated with the consumer operated kiosk and readinga first gift card identifier from the first gift card; verifying a firstactivation status associated with the first gift card identifier;receiving a second gift card identifier associated with a second giftcard via the user input device; verifying a second activation statusassociated with the second gift card identifier; maintaining the firstactivation status while the second gift card identifier is received andthe second activation status is verified; displaying one or moreexchange options for a first user, wherein the one or more exchangeoptions include exchanging a gift card value associated with the firstgift card and the second gift card for at least one of cash or aredeemable cash voucher; receiving a selection from the first usercorresponding to at least one of the exchange options; when the userselection corresponds to exchanging the first gift card and second giftcard for cash, dispensing cash to the user; when the user selectioncorresponds to exchanging the first gift card and second gift card for aredeemable cash voucher, dispensing the redeemable cash voucher to theuser; and reselling at least a portion of the gift card value associatedwith the first and the second gift cards to a second user for a priceless than the gift card value.
 2. The method of claim 1, furthercomprising displaying a listing of gift cards the kiosk is configured toexchange for at least one of cash and a redeemable cash voucher.
 3. Themethod of claim 1, further comprising receiving user identificationinformation via the user input device, wherein the user identificationinformation associates the first user with the gift card information. 4.The method of claim 3, further comprising: determining whether apredetermined condition associated with at least one of the useridentification information and the gift card information is met; andrejecting the gift card when the predetermined condition is met.
 5. Themethod of claim 4 wherein determining whether the predeterminedcondition is met comprises comparing a total gift card value of giftcards tendered by the first user within a preset period of time to apredetermined limit on the total gift card value.
 6. The method of claim5 wherein comparing the total gift card value comprises summing thetotal gift card value of gift cards tendered by the user within thepreset period of time at the kiosk and other consumer operated kioskscommunicatively linked thereto.
 7. The method of claim 1 whereinreselling at least a portion of the gift card value comprises resellingat least a portion of the gift card value from a location remote fromthe kiosk.
 8. The method of claim 7 wherein reselling at least a portionof the gift card value comprises reselling at least a portion of thegift card value via a website.
 9. The method of claim of claim 7 whereinreselling at least a portion of the gift card value comprises resellingthe gift card value for a price less than the gift card value.
 10. Themethod of claim 1 wherein receiving gift card information associatedwith the gift card comprises receiving gift card information associatedwith a virtual gift card.
 11. The method of claim 1, further comprising:verifying a first gift card value associated with the first gift cardidentifier; verifying a second gift card value associated with thesecond gift card identifier; and providing a buy-back value for thefirst user, wherein the buy-back value is associated with the sum of thefirst and second gift card values.
 12. The method of claim 1, furthercomprising: verifying a first gift card value associated with the firstgift card identifier; verifying a second gift card value associated withthe second gift card identifier; and providing a first buy-back valueassociated with the first gift card value and a second buy-back valueassociated with the second gift card value.
 13. The method of claim 1wherein receiving the selection from the first user comprises:exchanging one of the first gift card and the second gift card for oneof cash or a redeemable cash voucher; and dispensing the other of thefirst and second gift cards to the first user.
 14. The method of claim1, further comprising: scanning a government issued I.D.; andassociating the government I.D. with at least one of user transactionsat the kiosk and the gift card information.
 15. The method of claim 1,further comprising storing gift cards received by the kiosk for laterresale.
 16. The method of claim 1 wherein the gift card is one of aplurality of gift cards, and wherein receiving gift card informationassociated with the gift card via the user input comprises receivinggift card information associated with the plurality of gift cards.
 17. Amethod of exchanging gift cards for value with a consumer operatedkiosk, the method comprising: receiving a gift card via a card inputslot associated with the consumer operated kiosk to read a gift cardidentifier from the gift card; verifying a card activation statusassociated with the gift card identifier; displaying one or moreexchange options for a first user, wherein the one or more exchangeoptions include exchanging a gift card value associated with the giftcard for a buy-back value in the form of cash and/or a redeemable cashvoucher, wherein the buy-back value is less than the gift card value;and receiving a selection from the first user corresponding to at leastone of the exchange options: when the user selection corresponds toexchanging the gift card for cash, dispensing the cash to the user; whenthe user selection corresponds to exchanging the gift card for aredeemable cash voucher, dispensing the redeemable cash voucher to theuser; and reselling the gift card value to a second user for a priceless than the gift card value and more than the buy-back value.